Introduction The use of special purpose acquisition companies (SPACs) as an alternative route to access the equity capital markets in the United States of America (US) has fluctuated in popularity over the years as a result of changes in both market conditions and investor appetite. However, US SPAC activity has been buoyant during 2020 and … Continue Reading
On 7 January 2020, the SFC issued guidance on the licensing obligations of private equity (PE) firms and family offices which conduct business in Hong Kong. This guidance took the form of two circulars, the first of which relates to PE firms (the First Circular) and the second relates to family offices (the Second Circular). … Continue Reading
The Monetary Authority of Singapore (MAS) recently issued a consultation paper setting out its proposed regulatory approach for derivatives contracts that reference payment tokens as underlying assets (Payment Token Derivatives). What is this approach meant to address? A well-regulated market for derivatives – particularly one anchored by institutional investors with sophisticated risk management and investment … Continue Reading
We have recently partnered with the Asia Securities Industry & Financial Markets Association (ASIFMA) on its new industry white paper titled, “Tokenised Securities – A Roadmap for Market Participants and Regulators.” The report analyses how the new value chain will impact market participants, including incumbent financial institutions (FIs) and issuers, and looks at areas they … Continue Reading
On 4 April 2019, the Securities and Futures Commission (SFC) released the conclusions of its consultation on proposed guidelines for securities margin financing activities (the Guidelines). The existing conduct requirements for securities margin financing activities are mainly prescribed in the Code of Conduct for Persons Licensed by or Registered with the SFC and the Management, … Continue Reading
‘Best Practices for Digital Asset Exchanges’ is a first-of its kind report released by ASIFMA, the region’s leading trade association for the financial industry. The report aims to guide digital exchanges towards international best practices and highlights key areas for consideration, including the listing processes, market abuse issues, regulatory considerations, cybersecurity and engagement with external … Continue Reading
With the PRC’s Belt and Road Summit 2017 having just taken place in May 2017, one of the key messages from the summit was that, even with over US$100 billion in funding pledges from the PRC government and other participating countries, greater private sector participation will be required to bring the Belt and Road projects … Continue Reading
Shenzhen-Hong Kong Stock Connect (Shenzhen Connect) is expected to be launched in the second half of November 2016, according to the Hong Kong Exchanges and Clearing Limited (HKEX). Shenzhen Connect, upon launch, will mark another milestone in HKEX’s market connectivity with Mainland China. The following documents have been published by HKEX to facilitate the business … Continue Reading
On 16 August 2016, the Securities and Futures Commission of Hong Kong (SFC) and the China Securities Regulatory Commission (CSRC) jointly announced the approval, in principle, of the establishment of Shenzhen-Hong Kong Stock Connect, which will provide mutual stock market access between Hong Kong and Shenzhen via a northbound Shenzhen trading link and a southbound … Continue Reading
On 6 July 2016, The Stock Exchange of Hong Kong Limited (the Exchange) updated its Guidance Letter GL25-11 (the Guidance Letter), which sets out the conditions for waiving a listing applicant’s strict compliance with Main Board Rule 4.04(1) and GEM Rules 7.03(1) and 11.10 (the Relevant Rule Waiver) (Note). The update made was to paragraph … Continue Reading
